Hovde Group, a full service investment bank and broker dealer that provides investment banking, capital markets, equity research, and sales and trading services focused on the financial services sector, announced that it has formed a new practice to advise specialty finance companies, led by Tim Stute as Managing Director and Head of Specialty Finance. Joining Stute is his long-time colleague T.J. Humes as Director, as well as additional vice president and analyst support.

Stute and Humes join from Houlihan Lokey’s Financial Institutions Group where they were responsible for originating and executing M&A and capital markets engagements on behalf of a variety of commercial, consumer, mortgage, and small business finance companies and financial technology companies across the United States. While at Houlihan Lokey, and previously at Milestone Advisors, which was acquired by Houlihan in 2012, Stute was a top ranked senior banker in the specialty finance M&A sector, as measured by number of deals (according to SNL Financial LC, 2004 to 2016).

“We’ve known Tim for many years and have followed his success in building the leading specialty finance M&A practice in the country,” commented Steven Hovde, Chairman and CEO. “In continuing to evaluate growth opportunities for our firm, we see this expansion into specialty finance as a natural extension of, and complement to, the full suite of services we offer to our regional and community bank client base. Adding Tim and his team immediately brings Hovde to the forefront of this dynamic sector.”

Stute added, “In recent years, many of our specialty finance clients have been acquired by banks looking to diversify their product offering and improve interest and fee income. Joining the team at Hovde offers a fantastic opportunity to capitalize on the synergies arising from the firm's consistent standing as a top ranked bank M&A and capital markets advisor, and also represents a chance to return to my entrepreneurial roots where I can manage this new group's growth.”

The specialty finance team will be based in a new office in McLean, Virginia, just outside of Washington, DC.

In addition to hiring Tim Stute, TJ Humes, and team, Hovde Group has continued to expand its Depository practice with the addition of ten new employees, including two Managing Directors (focusing on the Southeast and West Coast markets), a Vice President and three Analysts in its Investment Banking Group, a Managing Director in Equity Capital Markets, and two Associates in Equity Research.